JEC COMPOSITES MAGAZINE - Issue #49 - June 2009 - 21

Reinforcements India has two glass-fibre manufacturers supplying glass fibre directly to major customers, but also selling to other customers through their distributors. Each distributor handles a particular brand. Some distributors import in bulk quantities and sell in smaller packs. A few resin manufacturers sell imported glass fibre. Most other fibres and resins, along with some specialty chemicals, are imported by dealers and distributed along with other domestically produced items. Resin systems Selling patterns for resin producers vary. Many of them sell their products directly to part manufacturers and distributors. Most of the 110+ polyester resin manufacturers, for instance, sell their resins directly – like Naptha Resins and Chemicals Pvt Ltd, a manufacturer of unsaturated polyester resin, which has branch offices for distribution in many states and selling agents in district headquarters and towns. The two epoxy resin manufacturers sell their resins both directly and through their agents. Thermoplastics production for composites manufacturing has not yet reached significant amounts, nor is the production of other resins like epoxy and phenolics enough to require taking on more selling agents. Most distributors supply segments that include construction, chemicals, and corrosion resistance. A special feature of Indian distribution companies is that most of them handle a product mix of reinforcements, resins and related chemicals. Many are representing their principals in Europe and America. Distributors started offering credit facilities to manufacturers. These facilities enabled manufacturers to sustain and develop their business. The availability of raw materials with credit facilities motivated many of the employees with a certain level of knowledge in the hand lay-up process to start their own manufacturing units since, aside from the materials, the investment requirements are very low. As for just what distributors can contribute compared to a producer, Mr Ranade says: “A producer limits his scope to the production of good materials and arranging for credit to his buyers. A distributor, on the other hand, locates such good producers and makes their goods available at the doorstep of the moulder. Doing this, he takes the risk of inventory, credit and also recovery. Furthermore, he builds a database for the manufacturer with respect to the user base, the industry segment they serve, the potential in the near future and, most importantly, identifying reliable moulders to grow with. Thus, making various raw materials available, selecting the best for users, providing the required service to users and taking the financial risk is what the distributor does”. Spreading technology While hand lay-up is still the main technique used in India, small manufacturers are slowly switching over to modern techniques that include compression moulding, filament winding, and resin transfer moulding. Composite material distributors are playing a substantial role in this development at various levels. Distribution business units were set up to provide service to regional manufacturers, allowing distributors to gain knowledge about the materials and process, as well as the difficulties faced by manufacturers. This understanding helped distributors establish their business by offering support and services in addition to the materials. Other services offered by distributors India has roughly 2,000 FRP manufacturers scattered over its vast geographical area. About 50 of them are technologically “self-sufficient”, with their own technological bases and capabilities. Most of the others have very small manufacturing units that depend on outside technical support. In the early 1970s, the glassfibre manufacturer Fibre Glass Pilkington Ltd led in providing technical information, support and guidance for such units. Over the years, some distributors started to provide this service as the glass fibre industry gradually withdrew from the role. Not all of them are technically competent to do that, however. The role of distributors in projects By and large, raw-materials manufacturers do not get directly involved in new projects. But for specific projects requiring special skills, Mr Ranade says that his company does get involved in specific customer projects. “We source all the items in the bill of materials, identify the correct supplier, negotiate for the best price, advise our customer on near-future trends on pricing and take decisions in unison with our customers. Thus, we work shoulder to shoulder with our customers to help them achieve their targets and successfully complete large projects, creating a win-win situation for both of us.” Material supply in affordable quantities Manufacturers that operate as small economic units are not always able to purchase and store materials in large quantities. Distributors provide a solution to this problem by selling them small quantities as needed. Shriram Ranade, managing director of Link Composites, a Pune-based distribution company says, “Distribution companies have helped in the penetration of composites in India. They have made the required raw materials available in user-friendly pack sizes and also throughout the nation. For medium-scale companies, they have worked as a catalyst to promote their growth by giving credit, arranging quality materials in time, and bridging the gap of supply and demand. Imports by distributors have to a large extent saved the production of components, making them affordable for the user.” Conclusions Over the past five decades, the Indian composites industry has grown to become globally competent, with considerable achievements both in technology development and volume growth. Distributors and dealers have certainly partnered in this growth process. They can provide much better services if they also build up their technological capability and provide technical advice and support. Contact: editor@frptoday.in No49 June 2009 / jec composites magazine 21

JEC COMPOSITES MAGAZINE - Issue #49 - June 2009

Table of Contents for the Digital Edition of JEC COMPOSITES MAGAZINE - Issue #49 - June 2009